Gasoline prices underneath $4 per gallon at practically half of America’s fuel stations, AAA says, with the least-expensive fuel concentrated within the South and alongside the Gulf Coast. Patrick De Haan, head of petroleum evaluation for Gasoline Buddy, studies that 80,000 U.S. fuel stations are at present charging $3.99 or much less.
The nationwide common worth of a gallon of fuel this morning stands at $4.19, AAA says. The final time it stood underneath $4.20 was in early Might.
Why the regular lower?
People Are Driving Much less
As a result of People have modified their driving habits. In a current survey, AAA discovered that 64% of U.S. drivers reported making modifications of their driving since March. The three most typical modifications had been driving much less, combining errands, and decreasing purchasing or eating out.
13 p.c reported driving a extra fuel-efficient automobile, although that change doesn’t essentially imply they purchased one. House owners of a couple of automobile might select to make use of their most fuel-efficient automobile extra usually.
Provide and demand govern fuel costs. People have lowered their demand, driving costs down.
Declining Costs May Tempt Us Again to the Roads
That would, nonetheless, result in a backfire impact. The federal authorities’s Vitality Data Administration studies that demand for gasoline spiked final week. People burned 9.25 million barrels of gasoline final week, in comparison with 8.52 million the week earlier than.
“We all know that the majority American drivers have made important modifications of their driving habits to deal with excessive fuel costs,” mentioned Andrew Gross, AAA spokesperson. “However with fuel under $4 a gallon at practically half of the fuel stations across the nation, it’s doable that fuel demand might rise.”